A not-so-premier destination?

Cookie-cutter programmes need a rethink in order to cater to well-heeled clients

Singapore has carved a name for itself as a first-class destination featuring a bevy of high-end attractions, spanking new hotels and celebrity gourmet restaurants. But is it really?

Despite the constant chatter of wanting to draw high-net-worth visitors, international luxury buyers and members of the inbound trade have observed a gap in Singapore’s offerings: a lack of specialist players who can deliver on unique, high-end itineraries.

Paul Humphreys, chairman and CEO, dmAsia Hong Kong said he had trouble locating a suitable groundhandler to service luxury clients. “What existing players offer is great for the mass market, but the companies I’ve met so far have not been able to come up with creative ideas that translate into one-of-a-kind experiences. Moreover, the products offered are too similar.”

Little attention has been paid to developing products that convey Singapore’s USPs, noted local operators.

Luxury Tours & Travel Singapore director, Michael Lee, said:  “Singapore is known for its iconic attractions and buildings, but little else. To most outsiders, we are just another shiny Asian city.”

Anthony Ang, director of sales, Destination Asia Singapore, argued that it was bad enough that the destination already had a handicap. He said: “Singapore is also surrounded by numerous destinations who can offer so much more, owing to their vast natural, historical and cultural resources.

“As such, it is very difficult for us to compete head on (with neighbouring destinations) as we do not have any distinctive experiences to offer.”

Resources required to create a dedicated luxury inbound travel firm already exist, but no one has taken the plunge, pointed out Ram Samtani, general manager of Ramesh Travel Service Singapore.

“What existing players offer is great for the mass market, but (I’ve not seen) creative ideas that translate into one-of-a-kind experiences” 


Paul Humphreys
Chairman and CEO
dmAsia Hong Kong

“In theory, it should be easy for anyone to become specialist travel providers to the luxury market, but I suppose one has to first have the creativity and means to put it all together and pull it off,” he said.

Siam Express Singapore managing director, Jacklyn Yeoh, said what was needed was for the trade to attract qualified workers with relevant skill sets.

“As a DMC, we have to contend with event planners and organisers as well, who are coming up with innovative product ideas and experiences,” she said.

It was important to hire passionate, talented individuals who could come up with fresh ideas, Yeoh added.

Ironically, it seems, Singapore  has no shortage of brilliant minds, although not many end up joining the industry.

Said Luxury Tours & Travel’s Lee: “We’ve been quite impressed with the qualify of graduates we’ve seen. However, the schools and students prefer to engage hotels and not inbound professionals like us. In fact, they don’t often understand what a DMC is or what it does.”

Another labour challenge will come on July 1, when local companies within the service industry will only be allowed to have 45 per cent of their workforce comprising foreign employees, down from 50 per cent previously. Levies for foreign workers are also set to go up in July 2013.

Lee said he was already struggling with manpower issues and had to turn away a large MICE group this year. “The service sector should have been excluded, as we cannot use technology alone to resolve all our labour shortages. After all, the key differentiator for (the tourism) business is the human touch.”

Bestlink Travel Singapore managing director, Mike Eng, added: “Given that our main sources of business are China, Vietnam and Cambodia, we are highly dependent on foreign workers in our day-to-day operations. They communicate and coordinate with overseas agents, and are indispensable. The government’s move would unquestionably have a big impact on us  and definitely curb our growth.”

This article was first published in TTG Asia, March 9 issue, on page 19. To read more, please view our digital edition or click here to subscribe.

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